Mumbai, June 03: A former director of Bombay Stock Exchange was arrested and remanded in police custody till June five on charges of cheating and criminal breach of trust. The accused, Gulshanlal Gera, who was arrested on Saturday, had earlier been suspended after an internal audit revealed that he had misappropriated over Rs 15 lakh from the BSE budget, police said today.

Gera had allegedly tapped telephones of the BSE directors to pass on information to some vested parties, the sources added.

BSE has set up a three-member inquiry committee to look into the alleged "large scale irregularities".

The bourse may commission an outside professional like a chartered accountant to carry out the investigations, BSE sources said.

Prior to being moved to the debt segment, Gera was looking after general management and human resource department at the exchange, the official said.

Bureau Report